More

Connecticut Closes Out Year With $170.4 Million Deficit

HARTFORD, Conn. (CBS Connecticut and AP) – Connecticut is officially closing out last fiscal year with a $170.4 million deficit in the state’s main spending account.

In a letter sent Friday to the governor, Democratic state Comptroller Kevin Lembo says the shortfall in the General Fund will be covered by the state’s Budget Reserve Fund. That leaves nearly $235.6 million left in the rainy day account.

Last fiscal year actually ended on June 30. However, the deficit figures are not finalized until the year’s fiscal transactions are completed.

Lembo blames “an economy that has yet to reach past recovery growth levels,” as well as volatility in the stock market, for the state’s revenue problems.

Connecticut has recovered about 81 percent of the nonfarm jobs it lost during the March 2008-February 2010 recession.